Updating Ests: Slightly Lower Core Growth, Adding Benefit from FL SDP Approval

Research evidence excerpt

Updating Ests: Slightly Lower Core Growth, Adding Benefit from FL SDP Approval

Health Care Facilities & Services

Tenet Healthcare

TD SECURITIES (USA) LLC ESTIMATE CHANGES

June 22, 2026

Price: $172.57 (06/18/2026) Updating Ests: Slightly Lower Core Growth,

Price Target: $233.00 (Prior $242.00) Adding Benefit from FL SDP Approval

BUY (1)

ESG SCORE: 50/100

Ryan Langston THE TD COWEN INSIGHT

646 562 1418

Given results from our May 2026 hospital survey showing ~flat yty revenue, recent

ryan.langston@tdsecurities.com

commentary from ARDT, public MCO commentary, and remarks made at our 2nd Annual

William Spivack Hospital Summit (here), we are lowering our core growth assumptions for 2026/27E. We are

202 868 5302 also including FL DPP in 2Q26 ests, but not in 2027. Our PT moves to $233, 8.4x our 2027

william.spivack@tdsecurities.com

EBITDA-NCI est. We see THC better positioned in 2Q vs peers.

Christian Borgmeyer, CFA

646 562 1430 Recent Data Points to Softer Volumes/Revenue Growth in 2Q26 - Our May 2026 hospital

christian.borgmeyer@tdsecurities.com survey showed ~flat yty revenue, with commentary on weaker surgical volumes that

Gary Taylor were partially offset by growth in medical volumes. Recent commentary from ARDT (Not

646 562 1450 Covered, $8) also points to weaker surgical volumes and revenue growth in May. MCO public

gary.taylor@tdsecurities.com commentary, combined with health system executive commentary at our 2nd Annual Hospital

Summit (here) also point to relatively favorable or at least stable payer cost trends combined

Key Data

with mixed volume trends through 2Q26. These data points suggest there is risk to "core"

Symbol NYSE: THC

hospital growth estimates in 2Q26 and the balance of the year.

Beta: 1.27